xeco212 week 4 due day 7

xeco212 week 4 due day 7 - Market structures, there are...

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Market structures, there are four structures in the characteristics in the market is known as perfect competition, monopoly, monopolistic competition, and oligopoly. In the report, I will sum up each market structure and explain what they are and how they work. Reporting about the maximizing of profits in the company and explaining how the three constraints work to maximize the profit of a business, maximizing the profit of the product being produce and the best price possible for the company to make a profit to survive. If the profit is not made the company at a loss can close their doors. Market structure is very important to maintain the cost of a product so a company can stay in business. Here are some of the characteristics in the market structure: “The characteristics are: (1) number of firms in the market, (2) control over the price of the relevant product, (3) type of the product sold in the market, (4) barriers to new firms entering the market, and (5) existence of non-price competition in the market” .To explain a little bit about each character the first one being number of firms in market. A huge amount of competition in today’s market according to the economics of the product determines the number of industries making the product. In perfect competition and monopolistic competition there are only a certain number of industries that put out the product. In oligopoly there is only a few that put out the product, and the monopoly is only one that puts out the product, they can set their own price because the industry is the only
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xeco212 week 4 due day 7 - Market structures, there are...

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